Dilapidations in Scots Commercial Property Law: A Guide for Tenants and Landlords
For landlords, ensuring their property is well-maintained throughout the lease term and upon its termination is crucial. To achieve this, landlords rely on dilapidations — a process that holds tenants accountable for their obligations to repair, decorate, maintain and comply with statute under the lease. In Scots law, the common law position under a lease […]
Rent Reviews – What Do They Mean for Landlords and Tenants?
In commercial leasing, rent review clauses can make or break a good outcome for both a tenant and landlord. The rent review clause is a provision which provides the landlord with an opportunity to review the amount of rent payable by the tenant during the term of the lease. This is important as it allows […]
Purchasing Commercial Property at Auction – Is the Risk Worth the Reward?
Purchasing commercial property at auction (as opposed to the open market) can seem like an enticing opportunity and an effective way to secure a good deal, fast. With this acknowledged, auction purchases do not come without their risks, and it is vital for any purchaser to have a solid understanding of the potential pitfalls before […]
Office To Accommodation: Is Converting Dormant Office Space for Residential Use the Way to Rejuvenate Town & City Centres?
As we are all aware, the COVID-19 Pandemic triggered a dramatic shift away from traditional office-based working culture. Many had thought (and some had hoped) that once the Pandemic had subsided that “normality” would resume, with a large portion of the working population returning to offices and Town and City Centres being restored to their […]
Increasing Demands from Landlords for Greater Protections: Rent Deposits and Personal Guarantees in Commercial Leases
As a result of the current economic and commercial landscape in Scotland, and the UK as a whole, commercial landlords are beginning to demonstrate a growing appetite for strengthened protections when entering into new commercial leases. In order to protect their investments during a time of economic uncertainty, landlords are seeking additional protections and moving […]
Beware of Business Rates
Business rates – or non-domestic rates as they are also known – are a tax levied on shops, bars, restaurants, offices and other commercial properties to pay towards Local Council services such as education, social care and waste management, to name a few. Liability for such ‘rates’ initially rests with the property owner, however […]
Tacit Relocation: A Guide to Understanding its Implications in Practice
What is Tacit Relocation? The principle of Tacit Relocation is asserting that commercial leases do not automatically conclude at their expiration date. The Lease can only be brought to an end by either party by serving notice to quit By not serving notice, the landlord and the tenant are presumed to have agreed that the […]
The Migration ‘Out of Town’ and Changing Workspaces
The move to flexible working borne out the Covid pandemic has brought about a seismic shift in the way both businesses and employees view workspaces. According to the Guardian, more than half of businesses have evolved by establishing offices and other workspaces outside of city and town centres.[1] Not only are the loci of workspaces […]
Minimum Energy Efficiency Standards for Commercial Property
What is an Energy Performance Certificate? An Energy Performance Certificate (EPC) is used to measure the efficiency of a building. Energy Assessors are responsible for producing the certificates, which remain valid for a period of 10 years. EPCs must be produced when a property is intended to be sold or rented out, there are some […]
Lease or Licence to Occupy – What are the Differences and Advantages / Disadvantages?
There are two options available to those wishing to take legal occupation of a commercial property: a commercial lease; or a licence to occupy. A lease and a licence to occupy are legally-binding agreements between an owner and an occupier that authorise occupation of a commercial property for a period of time. Both require […]